CREA has asked for the below message to be shared with all RAE Members. We will provide updates as they become available.
The Competition Bureau has advised CREA they’re investigating two areas of CREA’s rules and policies:
It’s important to note, at this stage, the Bureau has not reached any determinations or conclusions about either of the areas under investigation. The REALTOR® Cooperation Policy, which came into effect at the beginning of 2024, remains in force.
When the Bureau engages in an inquiry, it’s typical for them to also seek a court order to produce records and provide written responses, which is what they’ve also done in this case. This step is part of the Bureau’s investigative process so it can determine facts and conduct its analysis under the Competition Act.
As you know, there are ongoing class actions regarding the compensation rules by private litigants in Canada (Sunderland and McFall). Whether these actions in Canada disclose a viable legal claim under Canadian law continues to be disputed before the courts. We’re not aware of any other Bureau inquiry in connection with cooperating broker compensation or the REALTOR® Cooperation Policy.
We understand this will likely give voice to some public commentary. As with any ongoing legal or regulatory issue, we are limited in our ability to discuss the matter publicly.
We will keep you informed of any relevant developments. In the meantime, please direct all questions or public inquiries to Paul Feuer, CREA’s Senior Competition Counsel.
